Assume that in problem 14 c0 30 b 092 t 012 i0 70 and


Assume that in problem (14) C0 = 30, b = 0.92, t = 0.12, I0 = 70, and G0 = 60.

(a) Find the equilibrium values of the model's endogenous variables.

(b) What would be the change in national income if I0 changes from 70 to 75?

(c) What would be the change in the equilibrium values of Y, C, and T if I0 declines from 70 to 60 while G0 increases from 60 to 70?

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Microeconomics: Assume that in problem 14 c0 30 b 092 t 012 i0 70 and
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